I do not know how to answer this question. Pet Food Company bonds pay an annual coupon rate of 7.10 percent. Coupon payments are paid semiannually.

 I do not know how to answer this question.

Pet Food Company bonds pay an annual coupon rate of 7.10 percent. Coupon payments are paid semiannually. Bonds have 7 years to maturity and par value of $1,000. Compute the value of Pet Food Company bonds if the market interest rate on this type of bond is 12.41 percent. Please assist.